morpheous
07-06-2004, 01:41 AM
again,morpheous bringing some juicy conversations about this matter from jeff ooi's weblog.
Drying-up (Allocation) & Filling-up (SMART)
Of the RM160 billion allocated under the Eighth Malaysia Plan (2001 - 2005), only RM17 billion is left.
This was revealed at the Parliament lobby yesterday.
Malaysia's average annual expenditure should be RM30 billion, but the various ministries had spent billions for projects since 2001.
According to theSun, deficits in 2002 and 203 were RM20 billion, and the government wants to bring it down to RM18 billion by the end of the year.
But parliamentary secretary to the Finance Ministry Hilmi Yahaya argued that the ministries are just spending their allocations ?too fast". They should have staggered their expenditure over five years instead, he said.
May 2, Malaysia Mining Corp Bhd and Gamuda Bhd?s joint venture company Syarikat Mengurus Air Banjir & Terowong (SMART) Sdn Bhd signed a concession agreement with the government to construct a storm water channel and a double-deck motorway at a total cost of RM1.93 billion.
It gives the company a 40-year concession to operate and collect toll on the motorway, said the companies in separate statements on June 2.
As the allocations under Eighth Malaysia Plan is drying up, the Employees Provident Fund (EPF) has reportedly agreed to lend the government RM1.3 billion to underwrite and finance the SMART project, over and above the 40-year concession to collect toll on vehicles passing over it.
Read The EdgeDaily which quoted a Reuters story on the EPF the good samaritan.
NOTE: This is my email until further notice: jeffooi@<hidden>
Posted June 4, 2004 09:49 AM
Comments: Drying-up (Allocation) & Filling-up (SMART)
Imagine what it would be like if the Double Tracking fiasco has proceeded as planned. We may not even have enough money to buy paracetamol.
Posted by Jason Tan at June 4, 2004 10:10 AM
I am extremely worried about my savings in EPF. they are supposed to be prudent but when did EPF started ro function like BBMB. whatever that is lent out don't have to be returned. can't wait to get hold of my savings & let the young contributors suffer.bi bi bi to all your savings
Posted by disgusted at June 4, 2004 10:34 AM
the ex-PM had spent all the money at his own whim and fancy without considering the income and expenses. He even try to award the double track project a few days b4 he left the office. He left all trouble to the new PM. how smart he is.
Posted by mike at June 4, 2004 10:36 AM
It's still the same business-as-usual mondus operandi. JPS has spent all their allocation on a single project!.
Posted by ace at June 4, 2004 10:39 AM
With no money left in the government, thats why there are new faces controlling the top GLCs, the ones with the bulk of cash in their coffer, ie TNB and Telekom. Time to plunder whats left over. No surprise then, when the other mediocre and loss making GLCs are not getting their own smart Cambridge trained CEOs.
Posted by Nik at June 4, 2004 11:10 AM
A report from Morgan stanley
Daniel Lian (Singapore)
Morgan Stanley organized a Malaysia macro vision day on June 1. A dozen members of the global investment community met with the top policymakers in the country, including Prime Minister Abdullah Badawi; Second Minister of Finance, Tan Sri Nor Yacop; Minister in the Prime Minister?s Office and Executive Director of the National Economic Action Council (NEAC), Mustapa Mohammad; Deputy Governor of Bank Negara Malaysia (BNM), Ooi Sang Kuang; and chairman and CEO of Bursa Malaysia Bhd (formerly the Kuala Lumpur Stock Exchange Bhd), Yusli Mohamed Yusoff.
Key Takeaways from Prime Minister Abdullah Badawi
Mr. Badawi elaborated on his policy agenda:
(1) His promises of social, economic and political reform are not merely an election ploy, in our view. They represent a serious long-term commitment to remaking the country. While Mr. Badawi has retained several old faces in the new cabinet after his ruling coalition won in the general election in March, he emphasized there were many more pro-reform new faces in the cabinet.
(2) While the prime minister is committed to structurally reducing the budget deficit through trimming capital expenditure (i.e., government investment), overall government spending is being reduced in a prudent manner so that the economy will not be adversely affected.
(3) Finding new sources of growth and wealth is the key economic agenda. Rural development is a major part of this strategy. The prime minister elaborated on government efforts in modernizing agriculture through increasing crop yields and further raising the value-add of the commercial crop. New resource-based economic and export opportunities can also be found in the nimble agro-based SMEs. The experience of Japan and Thailand in agro-business development is relevant for Malaysia. Malaysia is also striving to become a hub for Islamic sanctioned food.
(4) Mr. Badawi also outlined what he wishes to achieve over the next five years:
a) Improve public service efficiency, which will help to improve the economy?s overall competitiveness;
b) Halt corruption at all levels of government, businesses and society. However, he believes law enforcement is not the only means to achieve this and plans to use Islamic teaching and principles to persuade people that the rent-seeking culture is unacceptable;
c) Rent-seeking businesses that thrive on political patronage and distribute rents to a small privileged group are no longer needed in Malaysia. Malaysia wants to groom businesses that create genuine wealth for the people;
d) Reduce government stakes in the corporate sector and state control of the economy. Instead, the private sector will dictate growth and corporate plans. The government?s resolve is shown by the transfer of government stakes in GLCs held by the Ministry of Finance to Khazanah Nasional (the parent investment holding arm of GLCs);
e) Building a resilient agricultural sector and encouraging new economic winners in manufacturing and services. The latter includes education, medical health, tourism etc.
Other Key Takeaways
Tan Sri Nor Yacop, Second Minister of Finance:
(1) The rent-seeking culture must be dismantled as it is bad for Malaysia?s economic and social-political development.
(2) Remaking ?Malaysia Inc.? is a key strategy. A new batch of corporate leaders recently chosen to head Khazanah and other GLCs were selected solely on their integrity and credentials. The minister took great pains to explain that the government is committed to selecting the best people from the multi-racial domestic population and even foreigners ? not just Malays. Khazanah is expected to engineer a ?revolution? of the private sector, and those appointed are accountable for this.
(3) Khazanah will not micro-manage GLCs but instead set sensible macro corporate objectives such as the Key Performance Indicators (KPIs) already announced. GLC restructuring will be conducted strictly on commercial terms; and KPIs will help drive GLCs towards Malaysia?s long-term corporate strategy. Market forces, not social objectives, will dictate GLCs? operations.
(4) Reforming GLCs will invariably inflict social pain, such as retrenchment. Khazanah and the government will not interfere. Instead, the government will prudently use job-training programs and its budget to ease any social pain.
Mr. Mustapa Mohammad, Minister (Prime Minister?s Office) and Executive Director of NEAC
(1) One of the key strategic initiatives in responding to the challenge posed by China and India is to keep the cost of doing business in Malaysia low and competitive. The anti-corruption drive and reform of the civil service and Malaysia Inc. will help retain Malaysia?s competitiveness.
(2) Agriculture and SME development are critical as they balance the past excessive dependence on mass manufacturing. Such development also augers well for sustaining domestic demand.
(3) There are two critical dimensions in the remaking of Malaysia Inc. -- first to encourage Malaysian businesses to venture abroad and create synergies for Malaysia?s corporates and economy; second is to allow more active foreign acquisitions of GLCs and involvement in its corporate sector. This is a critical mindset change by Malaysia?s leaders.
Mr. Ooi Sang Kuang, Deputy Governor of Bank Negara Malaysia:
(1) Economic growth has been good and will probably exceed 7% in 1H04, with a moderate slowdown projected in 2H04. This renders the government forecast of 6-6.5% for 2004 as realistic. Consumption has been strong and there has been a revival in private investment. Real wage increases are exceeding inflation, and this in turn has lagged real labor productivity growth, leading to improving corporate profits.
(2) Malaysia is not ideologically attached to the fixed dollar peg. If serious exchange-rate misalignment occurs that renders Malaysia uncompetitive relative to its major trading partners, BNM would re-consider the peg. However, in recent years there has been no misalignment serious enough to warrant unwinding the peg.
(3) Malaysia has experienced some hot money inflows but is prudently monitoring the situation. Inflation remains benign and the short-term money market rates are almost 200 bp above the US fed funds rate. At the initial stage of Fed tightening, Malaysia is enjoying a buffer, i.e., BNM has no need to raise rates as aggressively as the Fed.
(4) BNM is proactively steering the banking system towards improving risk management and operational efficiency, and encouraging cross-selling and integration of backroom support. The new interest rate framework announced several months ago will also facilitate a more efficient pricing of loans and deposits, which will be passed on to consumers and borrowers.
(5) Broad credit is financing economic growth, and its growth rate is actually considerably more robust ? at 9-11% (commensurate with 8-9% nominal GDP growth) ? than what mere loan growth numbers are suggesting. This is due to three factors: first, the private debt securities (PDS) market is growing rapidly ? such disintermediation results in direct lending that is not captured by bank loan numbers. Second, corporate earnings are improving, and greater retained earnings are deployed for capacity expansion. Third, there has been an increase in IPO and equity-raising exercises.
Investors? Suggestions and Feedback
Investors actively exchanged views with Mr. Badawi and other policymakers. Their suggestions included:
(1) Both government and Malaysia Inc. must appoint the right people to the top government and corporate jobs. Talent is the key in shaping a winning corporate and economic strategy.
(2) Reform has been under way since Mr. Badawi took over the prime ministership eight months ago. Policymakers should keep evaluation of reform transparent, and be diligent in updating investors on restructuring progress.
(3) Beyond the top 30 or so GLCs, which are the focal points in the effort in remaking Malaysia Inc., government should actively promote small indigenous businesses which are already successful niche businesses abroad or which possess the potential to succeed.
(4) Market-oriented corporate and economic policies that encourage sound market practice and fair competition are keys to success. The Government should focus on governing and creating good governance, but not running businesses.
(5) Good corporate practice, governance, and respect for minority shareholders? rights are keys to attracting foreign investment. One suggestion was that excess capital should be returned to shareholders.
(6) Foreign financial institutions and institutional money wants to participate more in Malaysian capital markets. Local fund management, stock broking, and government-controlled pension plans should be liberalized to allow either more active foreign ownership or management.
Bottom Line: Macro vision is clear, execution is key
We have been a believer in the Malaysia reform process. However, some investors remain cynical despite Mr. Badawi?s assigning top priority to three major reform efforts: 1) decisively dismantling the rent-based political economy, 2) devising and refining a ?winning? economic strategy, and 3) empowering the private sector.
At our investor day, Mr. Badawi and other key policymakers were able to reinforce their reform agenda and their firm commitment to these plans. This further strengthens our belief that Mr. Badawi?s macro vision, largely built on a platform of dismantling the rent-based complex, is clear and sound.
However, based on the feedback we obtained from investors, while there is now a greater conviction that Malaysia?s reform resolve is firm and that the strategy is broadly correct, investors need evidence of good execution before committing to further investment. Execution of the reforms and effective communication of this to investors over the next 3 to 6 months is therefore key to winning back the Malaysia skeptics, in our view
Posted by Cakap-cakap at June 4, 2004 11:13 AM
Wonder where the RM 500 mil for the NS program came from. I am sure it was not budgeted for in RM8.
Posted by Kok Choong Seng at June 4, 2004 11:16 AM
Why do you think they are many bumi boys running around bangsar with expensive sports cars???
Where do you think they got the funds from...I wonder from this 160 Billion how much has gone into actually benefiting the country & how much has filled up many bumi pockets ...
I am told that a simple 1 million ringgit contract awarded to a bumi company will end up at a small time Chinese contractors table for a mere 300K....
what happens to the rest...you do the math dudes...
Malaysia Boleh !
Posted by Pissed_Off ! at June 4, 2004 11:21 AM
"..... parliamentary secretary to the Finance Ministry Hilmi Yahaya argued that the ministries are just spending their allocations ?too fast". They should have staggered their expenditure over five years instead, he said."
Not surprised at all - i.e. the "spending too fast" bit.
Apart from our usual suspicions and suspects (and can anyone blame us), there has a traditional culture within ministries and govt depts. to "use up all allocations", and preferably more, if possible. (Of course, possible!)
There's a stupid (unspoken?) system whereby any unspent allocation would be deemed as either not realistically bidded/over-budgeted for in the first place, or not needed afterall. Both would result in a reduced allocation for the ministry/dept in the next round.
So, to protect each ministry or dept's financial interest/future budgetary allocation, the word from the boss has always been to "use up all allocations". Whether this would/could be done sensibly and effectively didn't matter. Afterall, it's not their money (it was of course, but who cares about the bigger picture)
Then, of course we are back to our usual suspicions and suspects.
Deadly combination - protecting one's turf and lining one's pocket.
Posted by jacky at June 4, 2004 11:31 AM
True, Jacky. Government contractors for IT products usually have a barren first half but things pick up towards the end of the year as departments scramble to use up their unused funds before 31 Dec.
Posted by suertes at June 4, 2004 11:53 AM
dear pissed off,
please keep in mind it is umno boys and not bumi boys k....
Posted by yang at June 4, 2004 11:56 AM
I told u earlier, piggy bank now kosong becos of Mahathir's spend, spend , spend policies,never mind cost: today cheaper, tommorw inflation make project more expensive (I'm quoting him).
Now he goes around giving lectures as if he is the great guru of economics, telling arabs, japs ect what to do: use yen for international trade, use gold standard again, take arab investment out of US. As if there is enough gold in the world to back today's multi trillion, quadrillion scale trade and economies. If his economic theories were put into practice, the next great depreesion will definately happen.
Posted by wetworks at June 4, 2004 12:13 PM
Oh dear, I say man.
Looks like the country's going to the dogs man.
No proper financial controls, money leaking out everywhere to the many, many pockets.
The Public Accounts Committee (PAC) must act fast and find out what bloody heck is going on. The Auditor General and Accountant General must do their tasks quickly and swiftly and report why we are in this sad state of affairs.
Are all the Ministries spending like there is no tomorrow? Are they in deep shit like the Health Ministry ?
Are there not enough Account-ants around?
The Malaysian Institute of Accountants (MIA) says there are 13,000 account-ants and growing very rapidly but maybe they are all MIA (missing in action).
We have record external reserves, record 30 months of consecutive trade surpluses due to increasing exports, rapid growth rates etc, BUT we just DON'T have any money. Some things just don't add up.
Everyone's seems to be in some trouble or another, in deep debt, some even with negative net worth due to their huge debt burdens and commitments. All waiting for another bailout. Looks like we are heading towards 1997 all over again.
Danaharta, don't close shop yet. There will be plenty of new cases soon.
Our FM II, Noh Mohd can go on another road show and issue more bonds debt papers.
Petronas can pump more oil, now that prices are at record levels.
And EPF, can I pleeese have my retirement money NOW?
Posted by sheriff singh at June 4, 2004 12:27 PM
Try name a country that practically has multi BILLION ringgit projects running simultanously year in and year out ? Only in Bolehland!!!!
Worse part is ,these are not oepn tender projects, but negotiated, maybe with generous clauses in the contract,that if you cannot complete or face cash flow problems, gomen will bail you out with generous compensation and yet you still can run it with fresh gomen funds or from some wallet heavy institutions. Any report of impropriety or corruption, the great investigative anti corruption branch of the gomen would launch its investigation, and hey presto-24hours later,not enough evidence,not substantiated,nothing to show any wrongdoing, cleanest bill of health given.
Posted by justme at June 4, 2004 12:31 PM
The RM1.3 bil is alrady sufficient to cover the whole project cost, why still need to let the consortium collect tolls for 40 years ?
Posted by takeit at June 4, 2004 01:09 PM
The company has to make profits..
not forgetting some datuks will walk away with free petrol stations... shopshouses... Rm1 million cash.... DeVEGAS niteclub... bla bla..the list goes on...
Posted by Pensil at June 4, 2004 01:22 PM
Looks like we need more space to publish a fraction of the misdeeds, mismanagement, miss this & miss that ...of the last of the GREAT SPENDER & cronies.
Can each contribute a real case and what is the end result of each mismanagement of our monies in the last 22 years?? Surely we must have enough space in this blogg, Jeff??
These are all our (all races) hard earned monies guys, less you forget. We save and save whatever we have and sometimes forgo having a sumptuous lunch or dinner so that we can have a bit left over for the next day. And some bugger just sub-out his gift-contract to another and makes a killing out of it. And they tell us we give you the best dividend from your EPF. Boy, is there ever going to be accountability and responsibility coming from the government for all the mishandling of our country's resources??
By the way, I saw our friend "Tun MM" on TV in Japan last evening and he looked lost when the camera caught him briefly. On board the Gravy Train again.
Posted by malaysian at June 4, 2004 01:28 PM
It's incredulous for most of us. A father of economics or our top salesman left with no cash in the kitty box but a cupboard of skeletons. Now the new householder has to 'undo" what has sadly been done. But the thought now, on yesterdays, why so-many "yes" men surrounding the top saleman who dare not query or object to maga projects but only to curry favors>That is incredulous. No wonder the new householder wants his children to tell him the "truth". Will he get the truth? maybe he better makes sure, his children tells the truth otherwise he is going to lose more "feathers" in his cap. Some say, "politics is the art of the impossible". I say, : "politics can be an art to bankruptcy!"
Posted by incredulous at June 4, 2004 01:47 PM
told u guys many many many times, think and vote during election, dont just fall for slogan gemilang, terbilang and berbilang bilang.
see now we all got to channel out our frustration for another four yrs here, sorry jeff...shit do happens, almost all the time in Malaysia yg ku cintai.
Posted by hairdryer at June 4, 2004 01:58 PM
Someone should suggest that an independent review of the Auditor General's reports and check if there is any cover up.. Do we question the use of the "investment fluctuation reserve" euphemistically named after the bottomless pockets of the EPF in covering bad Govt investments????
Posted by susmaryosep at June 4, 2004 02:28 PM
Recently, I alluded to a whole day session with academics and corporate businessmen on HRD issues in this country.
The posting was inthe '128' being left out blog.
The sad thing I discovered was that the indiffrence by the non-bumi business men to the plight of the marginalised non-bumis who had proven their potential. Instead they would seek consolation from the self-fulfilling prophecy that 'AAB will do something'.
There was no proactive , coherent and enduring motivation for a long term redress to an obviously unbalanced educational policy.
The lack of this kind of thinking is not just an error of ommision but a shrewd sytematic attitude that seeks to profit from inequalites in this system. Namely to keep quiet about educational misdirections and imbalances, but rather profit from it. This is cheap, crude capitalism 101. These same non-bumi businessmen have property firms and guess what own private colleges.
Don't you see what's going on here? There is unsaid collusion between the bumi NEP and the crony private sector so that these two will always win out at the expense of Malaysia even as it professes to migrate a knowledge-based economy.
Tha's why AAB is ad hoc and retroactive , he has to be because the politics is deeply entrenched from the past. The anachronistic series of Malaysia Plans are woefully alogorithmic an out-of-phase with a rapidly changing global landscape.
We are traders and continue to trade brains and lives for misguided policies. Where is the sensitivity, nay urgency, for committing resources to education?
Posted by Attila the Hun at June 4, 2004 02:46 PM
temberang, terhutang, terlentang
malaysia bolei
Posted by yang at June 4, 2004 03:07 PM
another fiasco is telehealth project given to medical online ...now is kaput...debts millions of ringgit to creditors and employees....
Posted by kiv at June 4, 2004 03:20 PM
Attila, you've put it with Malaysia at heart. There's so much disenfranchisement. The rakyat are just pissed off and can't be bothered anymore.
Posted by neilh at June 4, 2004 03:21 PM
Should have let Opposition won the election. At least PAS was honest in its administration of Kelantan and Terengganu.
Posted by Nik at June 4, 2004 04:42 PM
As a simple Malaysian fighting for basic survival, and all that we know is pay, and pay and pay.
Pay 1 - Income Tax, Pay 2 ? Service charges & government tariff and Pay 3 ? The bloody Toll again for 40 years using our own EPF saving to fund??!! Who give the approval ? BN or Malaysian ?
BN are still thinking that we are fools still living in jungles and do not know what they are doing with our saving. Just imagine, you pay taxes for your car that includes sales tax, duty tariff, then comes to Road tax and for the basic maintenance of your car on engine oil, spark plug, air filters etc which tax already included again and not to forget your Income Tax and to put a cream on top of all the goodies ?the new Toll for 40 years!?
Toll charges using our EPF saving to subsidize?!??
Next Datuk Semi Value will comment ?you can still use the old roads without maintenance?if you don?t want to pay toll. Why use EPF monies(Our money) to fund if you are making roads or highways for your own benefits? BN Government might think that we are all fools or all Malaysian elected them are FOOLS !! Sorry BN, fortunately not all Malaysians are FOOLS in the 21st century. Just because you have the power to rig the voters during 2004 Election does not mean that you have win the Malaysian hearts.
It is like BN buy you a car cash with your saving (EPF) whether you like it or not and ask you to pay installment (Toll) with your monthly income again. If you don?t want to pay installment, let other people use your new car. Don?t worry, some other people will use your car for you if you cannot afford to pay. Those idiots must be thinking we are all suckers then!
Will an ordinary Malaysian be bluffed by BN con history anymore?
Do we have the say on how to use our own saving?
We need this money to fund our children education since so many years of education repeat screw-up. They might not have a place in higher education with the current bunch of idiots running the show in the MoE.
If not, scrape the stupid EPF compulsory contributions and bank into our commercial saving accounts, which we have better security before they are drained out.
AAB, we are not stupid although Universities in Malaysia do not obtain much recognition overseas. We also know whose pockets full after getting the forceful funding from our EPF and robbing us in broad daylight with the 40 years of toll again. Furthermore, we are not just born today.
BN sucks !
Posted by NewsObserver at June 4, 2004 05:00 PM
As a simple Malaysian fighting for basic survival, and all that we know is pay, and pay and pay.
Pay 1 - Income Tax, Pay 2 ? Service charges & government tariff and Pay 3 ? The bloody Toll again for 40 years using our own EPF saving to fund??!! Who give the approval ? BN or Malaysian ?
BN are still thinking that we are fools still living in jungles and do not know what they are doing with our saving. Just imagine, you pay taxes for your car that includes sales tax, duty tariff, then comes to Road tax and for the basic maintenance of your car on engine oil, spark plug, air filters etc which tax already included again and not to forget your Income Tax and to put a cream on top of all the goodies ?the new Toll for 40 years!?
Toll charges using our EPF saving to subsidize?!??
Next Datuk Semi Value will comment ?you can still use the old roads without maintenance?if you don?t want to pay toll. Why use EPF monies(Our money) to fund if you are making roads or highways for your own benefits? BN Government might think that we are all fools or all Malaysian elected them are FOOLS !! Sorry BN, fortunately not all Malaysians are FOOLS in the 21st century. Just because you have the power to rig the voters during 2004 Election does not mean that you have win the Malaysian hearts.
It is like BN buy you a car cash with your saving (EPF) whether you like it or not and ask you to pay installment (Toll) with your monthly income again. If you don?t want to pay installment, let other people use your new car. Don?t worry, some other people will use your car for you if you cannot afford to pay. Those idiots must be thinking we are all suckers then!
Will an ordinary Malaysian be bluffed by BN con history anymore?
Do we have the say on how to use our own saving?
We need this money to fund our children education since so many years of education repeat screw-up. They might not have a place in higher education with the current bunch of idiots running the show in the MoE.
If not, scrape the stupid EPF compulsory contributions and bank into our commercial saving accounts, which we have better security before they are drained out.
AAB, we are not stupid although Universities in Malaysia do not obtain much recognition overseas. We also know whose pockets full after getting the forceful funding from our EPF and robbing us in broad daylight with the 40 years of toll again. Furthermore, we are not just born today.
BN sucks !
Posted by NewsObserver at June 4, 2004 05:00 PM
Old papa badawi hubbard,
Went to the bank negara cupboard,
Looking for some monies for us poor fellow doggies,
The cupboard was almost empty (only RM17 billion),
So the poor fellow doggies have to buy proton and eat magee mee for the rest of the year of RM8.
Posted by bugbear at June 4, 2004 05:03 PM
Magee mee? Those UMNO businessmen and politicians would still be eating steaks and driving BMWs. Only us the ordinary people need to sacrifice and eat maggee mee and drive 3rd hand protons!
Posted by Nik at June 4, 2004 05:11 PM
Nik, I can't even think of a 3rd hand Protons but to see which Finance company Lelong cheap ... never mind if it is 8th to 10th hands Kancil 660.
Posted by NewsObserver at June 4, 2004 05:22 PM
Spare a thought for the people of Malacca, they now have a Tan Sri 'Curi Balak' as Governor, which all goes to show those in the upper ranks of UMNO must show their mantle by any dubious means. Wait maybe even one day you have a tow kay babi amongst their ranks.
Posted by casper at June 4, 2004 05:24 PM
what oil sale! did you not hear of forward selling by the great emperor prior to his departure? Now we are nearing the state several South American countries are - real big shot!
but who really cares for the country as long as the fellas drive their luxury cars and have their six pack wives, and these shameless creatures pretend to be Bangsarhood celebrities and make the society pages on other peoples money - no shame one!
the country has really gone to the dogs -period!
now our epf is also screwed!
Posted by Perry Mason at June 4, 2004 05:29 PM
there are four ways to spend money
1. spend my money on myself
2. spend my money on others
3. spend others money on myself
4. spend others money on other selves.
which category government expenditures fall to?
Posted by geekpunk at June 4, 2004 06:38 PM
spend, spend, spend till u drop, then blame soros and gang
Posted by hairdryer at June 4, 2004 07:23 PM
jackie is right, each ministry will try to spend and spend for fear that at the next budget, the Treasury will question the "under-spending" and allocate a lesser amount. Argument or justification will arise to allocate a smaller budget for the ministry concerned on the basis that the Ministry don't need that much if at the end of the day, the Ministry shows an outstanding big balance. Just imagine the scenario. Spending on projects that really don't need and along the process of a spending spree, line up somebody's pockets. Of course, all will be legitimate. Imagine the number of MPs and the allocations they need. And if some MPs know that there are funds in some ministry he would lobby for the development funding for his constituency. Somehow, there are always some funds hidden somewhere and the dubious matter is that some funds are not specified for any specific purpose. For example, fundings for temples and churches (repair or development) are made available from the Pm's dept or even the housing ministry but the approval to dispense it depends on "whims and fancies" (so-called policies) of the ruling minister of the day. But the sad thing is that many government departments and local government also take years to prepare their expenditure and balance sheet reports. Some government agencies actually took 3 to 4 years to show their accountability. Just my two-cent insight story from sources in the political circle.
Posted by simplyspend at June 4, 2004 10:21 PM
It looks like Pak Lah is quite honest since he dares to admit we are ?pokai?! If I read it right, Malaysia is not a new ?pokai?, we must have been a ?pokai? as far back as 1997. The ?prosperity? we had for the past 8 years or so was probably nothing but thanks to Madhatter?s creative accounting, mindless borrowing (junk bonds, EPF etc), ruthless spending (you know on what lah) and chances are good we may have created tones of ?bubble? money that is backed by ?air? as well!
Coming back to Pak Lah call for prudent spening, budget cutback etc. I say hold your horses ? probably not the best move. The fact is the damage has been done and like it or not, Malaysia is already a ?gomen? driven economy and worse of all, the whole world is probably at the brink of a global ?pokai? ? US has no more jobs to export, China is so overheated even Tongkat Ali looks pale in comparison and should their economy collapses, mankind is going to suffer a financial Armageddon for sure! If we pull the emergency brake while there is alternative stimuli on the economy, chances are we will go into receivership sooner than we thought ? Guess it is better to continue to spend with a bang, get the economy going but please, for our children sake, don?t build white elephant and make very sure the money is spend against sweat and not slip into someone?s pocket just like that ? Propose beheading ala Al Queda for those who screwed around with our EPF money!
Posted by Ah Pek at June 4, 2004 10:38 PM
Drying-up (Allocation) & Filling-up (SMART)
Of the RM160 billion allocated under the Eighth Malaysia Plan (2001 - 2005), only RM17 billion is left.
This was revealed at the Parliament lobby yesterday.
Malaysia's average annual expenditure should be RM30 billion, but the various ministries had spent billions for projects since 2001.
According to theSun, deficits in 2002 and 203 were RM20 billion, and the government wants to bring it down to RM18 billion by the end of the year.
But parliamentary secretary to the Finance Ministry Hilmi Yahaya argued that the ministries are just spending their allocations ?too fast". They should have staggered their expenditure over five years instead, he said.
May 2, Malaysia Mining Corp Bhd and Gamuda Bhd?s joint venture company Syarikat Mengurus Air Banjir & Terowong (SMART) Sdn Bhd signed a concession agreement with the government to construct a storm water channel and a double-deck motorway at a total cost of RM1.93 billion.
It gives the company a 40-year concession to operate and collect toll on the motorway, said the companies in separate statements on June 2.
As the allocations under Eighth Malaysia Plan is drying up, the Employees Provident Fund (EPF) has reportedly agreed to lend the government RM1.3 billion to underwrite and finance the SMART project, over and above the 40-year concession to collect toll on vehicles passing over it.
Read The EdgeDaily which quoted a Reuters story on the EPF the good samaritan.
NOTE: This is my email until further notice: jeffooi@<hidden>
Posted June 4, 2004 09:49 AM
Comments: Drying-up (Allocation) & Filling-up (SMART)
Imagine what it would be like if the Double Tracking fiasco has proceeded as planned. We may not even have enough money to buy paracetamol.
Posted by Jason Tan at June 4, 2004 10:10 AM
I am extremely worried about my savings in EPF. they are supposed to be prudent but when did EPF started ro function like BBMB. whatever that is lent out don't have to be returned. can't wait to get hold of my savings & let the young contributors suffer.bi bi bi to all your savings
Posted by disgusted at June 4, 2004 10:34 AM
the ex-PM had spent all the money at his own whim and fancy without considering the income and expenses. He even try to award the double track project a few days b4 he left the office. He left all trouble to the new PM. how smart he is.
Posted by mike at June 4, 2004 10:36 AM
It's still the same business-as-usual mondus operandi. JPS has spent all their allocation on a single project!.
Posted by ace at June 4, 2004 10:39 AM
With no money left in the government, thats why there are new faces controlling the top GLCs, the ones with the bulk of cash in their coffer, ie TNB and Telekom. Time to plunder whats left over. No surprise then, when the other mediocre and loss making GLCs are not getting their own smart Cambridge trained CEOs.
Posted by Nik at June 4, 2004 11:10 AM
A report from Morgan stanley
Daniel Lian (Singapore)
Morgan Stanley organized a Malaysia macro vision day on June 1. A dozen members of the global investment community met with the top policymakers in the country, including Prime Minister Abdullah Badawi; Second Minister of Finance, Tan Sri Nor Yacop; Minister in the Prime Minister?s Office and Executive Director of the National Economic Action Council (NEAC), Mustapa Mohammad; Deputy Governor of Bank Negara Malaysia (BNM), Ooi Sang Kuang; and chairman and CEO of Bursa Malaysia Bhd (formerly the Kuala Lumpur Stock Exchange Bhd), Yusli Mohamed Yusoff.
Key Takeaways from Prime Minister Abdullah Badawi
Mr. Badawi elaborated on his policy agenda:
(1) His promises of social, economic and political reform are not merely an election ploy, in our view. They represent a serious long-term commitment to remaking the country. While Mr. Badawi has retained several old faces in the new cabinet after his ruling coalition won in the general election in March, he emphasized there were many more pro-reform new faces in the cabinet.
(2) While the prime minister is committed to structurally reducing the budget deficit through trimming capital expenditure (i.e., government investment), overall government spending is being reduced in a prudent manner so that the economy will not be adversely affected.
(3) Finding new sources of growth and wealth is the key economic agenda. Rural development is a major part of this strategy. The prime minister elaborated on government efforts in modernizing agriculture through increasing crop yields and further raising the value-add of the commercial crop. New resource-based economic and export opportunities can also be found in the nimble agro-based SMEs. The experience of Japan and Thailand in agro-business development is relevant for Malaysia. Malaysia is also striving to become a hub for Islamic sanctioned food.
(4) Mr. Badawi also outlined what he wishes to achieve over the next five years:
a) Improve public service efficiency, which will help to improve the economy?s overall competitiveness;
b) Halt corruption at all levels of government, businesses and society. However, he believes law enforcement is not the only means to achieve this and plans to use Islamic teaching and principles to persuade people that the rent-seeking culture is unacceptable;
c) Rent-seeking businesses that thrive on political patronage and distribute rents to a small privileged group are no longer needed in Malaysia. Malaysia wants to groom businesses that create genuine wealth for the people;
d) Reduce government stakes in the corporate sector and state control of the economy. Instead, the private sector will dictate growth and corporate plans. The government?s resolve is shown by the transfer of government stakes in GLCs held by the Ministry of Finance to Khazanah Nasional (the parent investment holding arm of GLCs);
e) Building a resilient agricultural sector and encouraging new economic winners in manufacturing and services. The latter includes education, medical health, tourism etc.
Other Key Takeaways
Tan Sri Nor Yacop, Second Minister of Finance:
(1) The rent-seeking culture must be dismantled as it is bad for Malaysia?s economic and social-political development.
(2) Remaking ?Malaysia Inc.? is a key strategy. A new batch of corporate leaders recently chosen to head Khazanah and other GLCs were selected solely on their integrity and credentials. The minister took great pains to explain that the government is committed to selecting the best people from the multi-racial domestic population and even foreigners ? not just Malays. Khazanah is expected to engineer a ?revolution? of the private sector, and those appointed are accountable for this.
(3) Khazanah will not micro-manage GLCs but instead set sensible macro corporate objectives such as the Key Performance Indicators (KPIs) already announced. GLC restructuring will be conducted strictly on commercial terms; and KPIs will help drive GLCs towards Malaysia?s long-term corporate strategy. Market forces, not social objectives, will dictate GLCs? operations.
(4) Reforming GLCs will invariably inflict social pain, such as retrenchment. Khazanah and the government will not interfere. Instead, the government will prudently use job-training programs and its budget to ease any social pain.
Mr. Mustapa Mohammad, Minister (Prime Minister?s Office) and Executive Director of NEAC
(1) One of the key strategic initiatives in responding to the challenge posed by China and India is to keep the cost of doing business in Malaysia low and competitive. The anti-corruption drive and reform of the civil service and Malaysia Inc. will help retain Malaysia?s competitiveness.
(2) Agriculture and SME development are critical as they balance the past excessive dependence on mass manufacturing. Such development also augers well for sustaining domestic demand.
(3) There are two critical dimensions in the remaking of Malaysia Inc. -- first to encourage Malaysian businesses to venture abroad and create synergies for Malaysia?s corporates and economy; second is to allow more active foreign acquisitions of GLCs and involvement in its corporate sector. This is a critical mindset change by Malaysia?s leaders.
Mr. Ooi Sang Kuang, Deputy Governor of Bank Negara Malaysia:
(1) Economic growth has been good and will probably exceed 7% in 1H04, with a moderate slowdown projected in 2H04. This renders the government forecast of 6-6.5% for 2004 as realistic. Consumption has been strong and there has been a revival in private investment. Real wage increases are exceeding inflation, and this in turn has lagged real labor productivity growth, leading to improving corporate profits.
(2) Malaysia is not ideologically attached to the fixed dollar peg. If serious exchange-rate misalignment occurs that renders Malaysia uncompetitive relative to its major trading partners, BNM would re-consider the peg. However, in recent years there has been no misalignment serious enough to warrant unwinding the peg.
(3) Malaysia has experienced some hot money inflows but is prudently monitoring the situation. Inflation remains benign and the short-term money market rates are almost 200 bp above the US fed funds rate. At the initial stage of Fed tightening, Malaysia is enjoying a buffer, i.e., BNM has no need to raise rates as aggressively as the Fed.
(4) BNM is proactively steering the banking system towards improving risk management and operational efficiency, and encouraging cross-selling and integration of backroom support. The new interest rate framework announced several months ago will also facilitate a more efficient pricing of loans and deposits, which will be passed on to consumers and borrowers.
(5) Broad credit is financing economic growth, and its growth rate is actually considerably more robust ? at 9-11% (commensurate with 8-9% nominal GDP growth) ? than what mere loan growth numbers are suggesting. This is due to three factors: first, the private debt securities (PDS) market is growing rapidly ? such disintermediation results in direct lending that is not captured by bank loan numbers. Second, corporate earnings are improving, and greater retained earnings are deployed for capacity expansion. Third, there has been an increase in IPO and equity-raising exercises.
Investors? Suggestions and Feedback
Investors actively exchanged views with Mr. Badawi and other policymakers. Their suggestions included:
(1) Both government and Malaysia Inc. must appoint the right people to the top government and corporate jobs. Talent is the key in shaping a winning corporate and economic strategy.
(2) Reform has been under way since Mr. Badawi took over the prime ministership eight months ago. Policymakers should keep evaluation of reform transparent, and be diligent in updating investors on restructuring progress.
(3) Beyond the top 30 or so GLCs, which are the focal points in the effort in remaking Malaysia Inc., government should actively promote small indigenous businesses which are already successful niche businesses abroad or which possess the potential to succeed.
(4) Market-oriented corporate and economic policies that encourage sound market practice and fair competition are keys to success. The Government should focus on governing and creating good governance, but not running businesses.
(5) Good corporate practice, governance, and respect for minority shareholders? rights are keys to attracting foreign investment. One suggestion was that excess capital should be returned to shareholders.
(6) Foreign financial institutions and institutional money wants to participate more in Malaysian capital markets. Local fund management, stock broking, and government-controlled pension plans should be liberalized to allow either more active foreign ownership or management.
Bottom Line: Macro vision is clear, execution is key
We have been a believer in the Malaysia reform process. However, some investors remain cynical despite Mr. Badawi?s assigning top priority to three major reform efforts: 1) decisively dismantling the rent-based political economy, 2) devising and refining a ?winning? economic strategy, and 3) empowering the private sector.
At our investor day, Mr. Badawi and other key policymakers were able to reinforce their reform agenda and their firm commitment to these plans. This further strengthens our belief that Mr. Badawi?s macro vision, largely built on a platform of dismantling the rent-based complex, is clear and sound.
However, based on the feedback we obtained from investors, while there is now a greater conviction that Malaysia?s reform resolve is firm and that the strategy is broadly correct, investors need evidence of good execution before committing to further investment. Execution of the reforms and effective communication of this to investors over the next 3 to 6 months is therefore key to winning back the Malaysia skeptics, in our view
Posted by Cakap-cakap at June 4, 2004 11:13 AM
Wonder where the RM 500 mil for the NS program came from. I am sure it was not budgeted for in RM8.
Posted by Kok Choong Seng at June 4, 2004 11:16 AM
Why do you think they are many bumi boys running around bangsar with expensive sports cars???
Where do you think they got the funds from...I wonder from this 160 Billion how much has gone into actually benefiting the country & how much has filled up many bumi pockets ...
I am told that a simple 1 million ringgit contract awarded to a bumi company will end up at a small time Chinese contractors table for a mere 300K....
what happens to the rest...you do the math dudes...
Malaysia Boleh !
Posted by Pissed_Off ! at June 4, 2004 11:21 AM
"..... parliamentary secretary to the Finance Ministry Hilmi Yahaya argued that the ministries are just spending their allocations ?too fast". They should have staggered their expenditure over five years instead, he said."
Not surprised at all - i.e. the "spending too fast" bit.
Apart from our usual suspicions and suspects (and can anyone blame us), there has a traditional culture within ministries and govt depts. to "use up all allocations", and preferably more, if possible. (Of course, possible!)
There's a stupid (unspoken?) system whereby any unspent allocation would be deemed as either not realistically bidded/over-budgeted for in the first place, or not needed afterall. Both would result in a reduced allocation for the ministry/dept in the next round.
So, to protect each ministry or dept's financial interest/future budgetary allocation, the word from the boss has always been to "use up all allocations". Whether this would/could be done sensibly and effectively didn't matter. Afterall, it's not their money (it was of course, but who cares about the bigger picture)
Then, of course we are back to our usual suspicions and suspects.
Deadly combination - protecting one's turf and lining one's pocket.
Posted by jacky at June 4, 2004 11:31 AM
True, Jacky. Government contractors for IT products usually have a barren first half but things pick up towards the end of the year as departments scramble to use up their unused funds before 31 Dec.
Posted by suertes at June 4, 2004 11:53 AM
dear pissed off,
please keep in mind it is umno boys and not bumi boys k....
Posted by yang at June 4, 2004 11:56 AM
I told u earlier, piggy bank now kosong becos of Mahathir's spend, spend , spend policies,never mind cost: today cheaper, tommorw inflation make project more expensive (I'm quoting him).
Now he goes around giving lectures as if he is the great guru of economics, telling arabs, japs ect what to do: use yen for international trade, use gold standard again, take arab investment out of US. As if there is enough gold in the world to back today's multi trillion, quadrillion scale trade and economies. If his economic theories were put into practice, the next great depreesion will definately happen.
Posted by wetworks at June 4, 2004 12:13 PM
Oh dear, I say man.
Looks like the country's going to the dogs man.
No proper financial controls, money leaking out everywhere to the many, many pockets.
The Public Accounts Committee (PAC) must act fast and find out what bloody heck is going on. The Auditor General and Accountant General must do their tasks quickly and swiftly and report why we are in this sad state of affairs.
Are all the Ministries spending like there is no tomorrow? Are they in deep shit like the Health Ministry ?
Are there not enough Account-ants around?
The Malaysian Institute of Accountants (MIA) says there are 13,000 account-ants and growing very rapidly but maybe they are all MIA (missing in action).
We have record external reserves, record 30 months of consecutive trade surpluses due to increasing exports, rapid growth rates etc, BUT we just DON'T have any money. Some things just don't add up.
Everyone's seems to be in some trouble or another, in deep debt, some even with negative net worth due to their huge debt burdens and commitments. All waiting for another bailout. Looks like we are heading towards 1997 all over again.
Danaharta, don't close shop yet. There will be plenty of new cases soon.
Our FM II, Noh Mohd can go on another road show and issue more bonds debt papers.
Petronas can pump more oil, now that prices are at record levels.
And EPF, can I pleeese have my retirement money NOW?
Posted by sheriff singh at June 4, 2004 12:27 PM
Try name a country that practically has multi BILLION ringgit projects running simultanously year in and year out ? Only in Bolehland!!!!
Worse part is ,these are not oepn tender projects, but negotiated, maybe with generous clauses in the contract,that if you cannot complete or face cash flow problems, gomen will bail you out with generous compensation and yet you still can run it with fresh gomen funds or from some wallet heavy institutions. Any report of impropriety or corruption, the great investigative anti corruption branch of the gomen would launch its investigation, and hey presto-24hours later,not enough evidence,not substantiated,nothing to show any wrongdoing, cleanest bill of health given.
Posted by justme at June 4, 2004 12:31 PM
The RM1.3 bil is alrady sufficient to cover the whole project cost, why still need to let the consortium collect tolls for 40 years ?
Posted by takeit at June 4, 2004 01:09 PM
The company has to make profits..
not forgetting some datuks will walk away with free petrol stations... shopshouses... Rm1 million cash.... DeVEGAS niteclub... bla bla..the list goes on...
Posted by Pensil at June 4, 2004 01:22 PM
Looks like we need more space to publish a fraction of the misdeeds, mismanagement, miss this & miss that ...of the last of the GREAT SPENDER & cronies.
Can each contribute a real case and what is the end result of each mismanagement of our monies in the last 22 years?? Surely we must have enough space in this blogg, Jeff??
These are all our (all races) hard earned monies guys, less you forget. We save and save whatever we have and sometimes forgo having a sumptuous lunch or dinner so that we can have a bit left over for the next day. And some bugger just sub-out his gift-contract to another and makes a killing out of it. And they tell us we give you the best dividend from your EPF. Boy, is there ever going to be accountability and responsibility coming from the government for all the mishandling of our country's resources??
By the way, I saw our friend "Tun MM" on TV in Japan last evening and he looked lost when the camera caught him briefly. On board the Gravy Train again.
Posted by malaysian at June 4, 2004 01:28 PM
It's incredulous for most of us. A father of economics or our top salesman left with no cash in the kitty box but a cupboard of skeletons. Now the new householder has to 'undo" what has sadly been done. But the thought now, on yesterdays, why so-many "yes" men surrounding the top saleman who dare not query or object to maga projects but only to curry favors>That is incredulous. No wonder the new householder wants his children to tell him the "truth". Will he get the truth? maybe he better makes sure, his children tells the truth otherwise he is going to lose more "feathers" in his cap. Some say, "politics is the art of the impossible". I say, : "politics can be an art to bankruptcy!"
Posted by incredulous at June 4, 2004 01:47 PM
told u guys many many many times, think and vote during election, dont just fall for slogan gemilang, terbilang and berbilang bilang.
see now we all got to channel out our frustration for another four yrs here, sorry jeff...shit do happens, almost all the time in Malaysia yg ku cintai.
Posted by hairdryer at June 4, 2004 01:58 PM
Someone should suggest that an independent review of the Auditor General's reports and check if there is any cover up.. Do we question the use of the "investment fluctuation reserve" euphemistically named after the bottomless pockets of the EPF in covering bad Govt investments????
Posted by susmaryosep at June 4, 2004 02:28 PM
Recently, I alluded to a whole day session with academics and corporate businessmen on HRD issues in this country.
The posting was inthe '128' being left out blog.
The sad thing I discovered was that the indiffrence by the non-bumi business men to the plight of the marginalised non-bumis who had proven their potential. Instead they would seek consolation from the self-fulfilling prophecy that 'AAB will do something'.
There was no proactive , coherent and enduring motivation for a long term redress to an obviously unbalanced educational policy.
The lack of this kind of thinking is not just an error of ommision but a shrewd sytematic attitude that seeks to profit from inequalites in this system. Namely to keep quiet about educational misdirections and imbalances, but rather profit from it. This is cheap, crude capitalism 101. These same non-bumi businessmen have property firms and guess what own private colleges.
Don't you see what's going on here? There is unsaid collusion between the bumi NEP and the crony private sector so that these two will always win out at the expense of Malaysia even as it professes to migrate a knowledge-based economy.
Tha's why AAB is ad hoc and retroactive , he has to be because the politics is deeply entrenched from the past. The anachronistic series of Malaysia Plans are woefully alogorithmic an out-of-phase with a rapidly changing global landscape.
We are traders and continue to trade brains and lives for misguided policies. Where is the sensitivity, nay urgency, for committing resources to education?
Posted by Attila the Hun at June 4, 2004 02:46 PM
temberang, terhutang, terlentang
malaysia bolei
Posted by yang at June 4, 2004 03:07 PM
another fiasco is telehealth project given to medical online ...now is kaput...debts millions of ringgit to creditors and employees....
Posted by kiv at June 4, 2004 03:20 PM
Attila, you've put it with Malaysia at heart. There's so much disenfranchisement. The rakyat are just pissed off and can't be bothered anymore.
Posted by neilh at June 4, 2004 03:21 PM
Should have let Opposition won the election. At least PAS was honest in its administration of Kelantan and Terengganu.
Posted by Nik at June 4, 2004 04:42 PM
As a simple Malaysian fighting for basic survival, and all that we know is pay, and pay and pay.
Pay 1 - Income Tax, Pay 2 ? Service charges & government tariff and Pay 3 ? The bloody Toll again for 40 years using our own EPF saving to fund??!! Who give the approval ? BN or Malaysian ?
BN are still thinking that we are fools still living in jungles and do not know what they are doing with our saving. Just imagine, you pay taxes for your car that includes sales tax, duty tariff, then comes to Road tax and for the basic maintenance of your car on engine oil, spark plug, air filters etc which tax already included again and not to forget your Income Tax and to put a cream on top of all the goodies ?the new Toll for 40 years!?
Toll charges using our EPF saving to subsidize?!??
Next Datuk Semi Value will comment ?you can still use the old roads without maintenance?if you don?t want to pay toll. Why use EPF monies(Our money) to fund if you are making roads or highways for your own benefits? BN Government might think that we are all fools or all Malaysian elected them are FOOLS !! Sorry BN, fortunately not all Malaysians are FOOLS in the 21st century. Just because you have the power to rig the voters during 2004 Election does not mean that you have win the Malaysian hearts.
It is like BN buy you a car cash with your saving (EPF) whether you like it or not and ask you to pay installment (Toll) with your monthly income again. If you don?t want to pay installment, let other people use your new car. Don?t worry, some other people will use your car for you if you cannot afford to pay. Those idiots must be thinking we are all suckers then!
Will an ordinary Malaysian be bluffed by BN con history anymore?
Do we have the say on how to use our own saving?
We need this money to fund our children education since so many years of education repeat screw-up. They might not have a place in higher education with the current bunch of idiots running the show in the MoE.
If not, scrape the stupid EPF compulsory contributions and bank into our commercial saving accounts, which we have better security before they are drained out.
AAB, we are not stupid although Universities in Malaysia do not obtain much recognition overseas. We also know whose pockets full after getting the forceful funding from our EPF and robbing us in broad daylight with the 40 years of toll again. Furthermore, we are not just born today.
BN sucks !
Posted by NewsObserver at June 4, 2004 05:00 PM
As a simple Malaysian fighting for basic survival, and all that we know is pay, and pay and pay.
Pay 1 - Income Tax, Pay 2 ? Service charges & government tariff and Pay 3 ? The bloody Toll again for 40 years using our own EPF saving to fund??!! Who give the approval ? BN or Malaysian ?
BN are still thinking that we are fools still living in jungles and do not know what they are doing with our saving. Just imagine, you pay taxes for your car that includes sales tax, duty tariff, then comes to Road tax and for the basic maintenance of your car on engine oil, spark plug, air filters etc which tax already included again and not to forget your Income Tax and to put a cream on top of all the goodies ?the new Toll for 40 years!?
Toll charges using our EPF saving to subsidize?!??
Next Datuk Semi Value will comment ?you can still use the old roads without maintenance?if you don?t want to pay toll. Why use EPF monies(Our money) to fund if you are making roads or highways for your own benefits? BN Government might think that we are all fools or all Malaysian elected them are FOOLS !! Sorry BN, fortunately not all Malaysians are FOOLS in the 21st century. Just because you have the power to rig the voters during 2004 Election does not mean that you have win the Malaysian hearts.
It is like BN buy you a car cash with your saving (EPF) whether you like it or not and ask you to pay installment (Toll) with your monthly income again. If you don?t want to pay installment, let other people use your new car. Don?t worry, some other people will use your car for you if you cannot afford to pay. Those idiots must be thinking we are all suckers then!
Will an ordinary Malaysian be bluffed by BN con history anymore?
Do we have the say on how to use our own saving?
We need this money to fund our children education since so many years of education repeat screw-up. They might not have a place in higher education with the current bunch of idiots running the show in the MoE.
If not, scrape the stupid EPF compulsory contributions and bank into our commercial saving accounts, which we have better security before they are drained out.
AAB, we are not stupid although Universities in Malaysia do not obtain much recognition overseas. We also know whose pockets full after getting the forceful funding from our EPF and robbing us in broad daylight with the 40 years of toll again. Furthermore, we are not just born today.
BN sucks !
Posted by NewsObserver at June 4, 2004 05:00 PM
Old papa badawi hubbard,
Went to the bank negara cupboard,
Looking for some monies for us poor fellow doggies,
The cupboard was almost empty (only RM17 billion),
So the poor fellow doggies have to buy proton and eat magee mee for the rest of the year of RM8.
Posted by bugbear at June 4, 2004 05:03 PM
Magee mee? Those UMNO businessmen and politicians would still be eating steaks and driving BMWs. Only us the ordinary people need to sacrifice and eat maggee mee and drive 3rd hand protons!
Posted by Nik at June 4, 2004 05:11 PM
Nik, I can't even think of a 3rd hand Protons but to see which Finance company Lelong cheap ... never mind if it is 8th to 10th hands Kancil 660.
Posted by NewsObserver at June 4, 2004 05:22 PM
Spare a thought for the people of Malacca, they now have a Tan Sri 'Curi Balak' as Governor, which all goes to show those in the upper ranks of UMNO must show their mantle by any dubious means. Wait maybe even one day you have a tow kay babi amongst their ranks.
Posted by casper at June 4, 2004 05:24 PM
what oil sale! did you not hear of forward selling by the great emperor prior to his departure? Now we are nearing the state several South American countries are - real big shot!
but who really cares for the country as long as the fellas drive their luxury cars and have their six pack wives, and these shameless creatures pretend to be Bangsarhood celebrities and make the society pages on other peoples money - no shame one!
the country has really gone to the dogs -period!
now our epf is also screwed!
Posted by Perry Mason at June 4, 2004 05:29 PM
there are four ways to spend money
1. spend my money on myself
2. spend my money on others
3. spend others money on myself
4. spend others money on other selves.
which category government expenditures fall to?
Posted by geekpunk at June 4, 2004 06:38 PM
spend, spend, spend till u drop, then blame soros and gang
Posted by hairdryer at June 4, 2004 07:23 PM
jackie is right, each ministry will try to spend and spend for fear that at the next budget, the Treasury will question the "under-spending" and allocate a lesser amount. Argument or justification will arise to allocate a smaller budget for the ministry concerned on the basis that the Ministry don't need that much if at the end of the day, the Ministry shows an outstanding big balance. Just imagine the scenario. Spending on projects that really don't need and along the process of a spending spree, line up somebody's pockets. Of course, all will be legitimate. Imagine the number of MPs and the allocations they need. And if some MPs know that there are funds in some ministry he would lobby for the development funding for his constituency. Somehow, there are always some funds hidden somewhere and the dubious matter is that some funds are not specified for any specific purpose. For example, fundings for temples and churches (repair or development) are made available from the Pm's dept or even the housing ministry but the approval to dispense it depends on "whims and fancies" (so-called policies) of the ruling minister of the day. But the sad thing is that many government departments and local government also take years to prepare their expenditure and balance sheet reports. Some government agencies actually took 3 to 4 years to show their accountability. Just my two-cent insight story from sources in the political circle.
Posted by simplyspend at June 4, 2004 10:21 PM
It looks like Pak Lah is quite honest since he dares to admit we are ?pokai?! If I read it right, Malaysia is not a new ?pokai?, we must have been a ?pokai? as far back as 1997. The ?prosperity? we had for the past 8 years or so was probably nothing but thanks to Madhatter?s creative accounting, mindless borrowing (junk bonds, EPF etc), ruthless spending (you know on what lah) and chances are good we may have created tones of ?bubble? money that is backed by ?air? as well!
Coming back to Pak Lah call for prudent spening, budget cutback etc. I say hold your horses ? probably not the best move. The fact is the damage has been done and like it or not, Malaysia is already a ?gomen? driven economy and worse of all, the whole world is probably at the brink of a global ?pokai? ? US has no more jobs to export, China is so overheated even Tongkat Ali looks pale in comparison and should their economy collapses, mankind is going to suffer a financial Armageddon for sure! If we pull the emergency brake while there is alternative stimuli on the economy, chances are we will go into receivership sooner than we thought ? Guess it is better to continue to spend with a bang, get the economy going but please, for our children sake, don?t build white elephant and make very sure the money is spend against sweat and not slip into someone?s pocket just like that ? Propose beheading ala Al Queda for those who screwed around with our EPF money!
Posted by Ah Pek at June 4, 2004 10:38 PM